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Classic Orla Kiely patterns, from Orla Kiely: A Life in Pattern at the Fashion and Textiles Museum. Photograph: Orla Kiely It is understood that about 40 of the groups 50-plus staff, half of whom work in the stores and the rest at the brands head office in Fitzrovia in London, have been made redundant. A spokesman added: Orla Kielys home and design licensing business will not be affected, and its selection of accessories and homewares will continue to be sold through its distribution partners. In the year to March 2017, Kiely Rowan made sales of 8.3m, up 15% on a year before, as the brand expanded in the US and far east but pre-tax profits fell by about a third to 101,000 as interest payments on its debts jumped to 221,597 from just under 82,000 a year before. The groups bank overdraft more than tripled to 1.9m. Julie Palmer, a partner at the advisory firm Begbies Traynor, said: Orla Kiely had the backing of high-profile celebrities and clearly had appeal to the latest generation of shoppers. If this latest news shows anything, its that there is no magic formula to success. Celebrity endorsements and being on trend dont always guarantee results. Businesses must remain vigilant, adapt and innovate with a core strength if they are to rise out this distressing time for retail. The problems at Orla Kiely come amid widespread difficulties on the high street that have pushed well-known retailers including House of Fraser and Toys R Us into administration.
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